Ledger has announced the launch of a new key recovery feature for its wallets, sparking mixed reactions in the cryptographic security sector.
New Key Recovery Feature
Ledger will introduce a new key recovery feature for new wallets, allowing the use of an additional PIN. This optional service, named Ledger Recovery, can be used entirely offline. The company recently published a document outlining the capabilities of the new offline recovery.
Details of Ledger Recovery
The new Ledger Recovery key is a smart card that stores a copy of the master secret used to generate the recovery phrase. The card can share the master secret via NFC with the Ledger Hardware Wallet. The secure element contains a tamper-resistant chip that provides a high level of protection for the master secret.
New Features in Ledger Live and Security Measures
As Web3 usage rises, Ledger also updated its software by introducing the Transaction Check feature in Ledger Live. This addition, aimed at Ethereum users, will check for potentially harmful transactions before signing. However, despite enhanced security measures, signing may still be at risk, as illustrated by a recent compromise involving Bybit.
While the new key recovery feature may represent an important step for user convenience, it also raises security concerns that cryptocurrency investors need to consider.
